CNBC
Broadcom's stock drops 5% as weak guidance overshadows earnings beat
* Broadcom reported strong Q3 results but gave weak Q4 guidance.
* EPS beat estimates; stock fell 5% in after-hours trading.
* AI chip demand drives growth, but 2026 gains lag S&P 500.
Broadcom shares fell 5% after hours despite Q3 results beating estimates. Adjusted EPS was $3.32 vs. $3.24 expected, and revenue reached $29.59B vs. $29.36B. Q4 revenue guidance of $34.8B missed the $35.03B consensus. Revenue soared 86% YoY to $29.59B, driven by AI chip demand from Google, Meta, and OpenAI. Semiconductor revenue hit $16.7B, topping forecasts. The stock has gained 6% YTD, trailing the S&P 500.
September 2, 2026 at 4:22 PMAVGO